The government has directed all universities and higher educational institutions across the country to ensure that no fee payments are made by students in cash mode from the upcoming academic session.

File image of Jawaharlal Nehru University. Network18

The HRD ministry has asked the University Grants Commission (UGC) to issue the necessary advisory to all higher educational institutions that all monetary transactions should be done using digital modes of payment.

"All receipts and payments related to the functioning of the institutions including student fees, exam fees, vendor payments and salary/wage payments shall be made 'only' through online or digital modes," the directive sent to university heads said.

"For all students' service in the hostels, the digital mode should be used for all transactions. All canteens and business establishments on the campus may be encouraged to resort to only digital modes for their receipts and payments using the BHIM app by linking their bank accounts with Aadhaar," it added.

The varsities have been asked to identify all transactions being carried out in cash currently and find ways for replacing them with digital modes.

The government has also asked the varsities to appoint a nodal officer for the purpose and send a monthly report to the UGC.